GM CEO says there is no need for even more government capital

Posted on Tuesday, 3 November 2009 , 10:11:18 byEmil

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GM CEO says there is no need for even more government capital

Fritz Henderson - General Motor's CEO affirms the American-based maker does not need more capital from the U.S. government as the initial loan wraps are enough for a restructuration. Fritz Henderson affirmed, in a Washington Post interview, that GM still hopes to be able to repay by 2015 all its government debts, but the firm struggles now to accelerate this, providing a good investment return, even sooner than that.

He affirmed 'The loans are due in 2015. We are looking at all kinds of ways that would actually accelerate that. Then over time the question is, 'How do you realize a return on the equity?' That is a function of how does the company perform. If we get our job done, I think the government has an excellent chance of getting a return on its investment'.

Henderson did confirmed that GM wants to continue all its efforts on green auto market; saying there are just a few steps for making this business more profitable even.

He said 'The three things you need are battery costs coming down, motor costs coming down, control costs coming down. That means more people have to do it'.

'The more companies that actually develop technologies around electric, the more the supply structure will develop, the better off we'll be. . . . We can't carry the load ourselves. GM can't. No way. We need to have more companies. We source most of these things. We don't do them. We're not in the chemistry business'.

Chevrolet Volt will be unveiled next year and GM's CEO said, it might cost 40,000 US dollars approximately.